Imagine you are the responsible accountant for one of our companies. Apart from local gaap or local accounting rules but with regard to HB II (Group financial statement) and with the help of the HB II accounting manual of which you can find an extract attached - how would you value the following accounting aspects?
1) The company purchases two production facilities:
(a) The first one is for production purposes in your company.
(b) The other one is for production purposes in one of the affiliates, to which the machine is planned to be sold.
(c) At the end of the year you receive the information that the use to capacity for machine (a) is just about 40%. What would you have to do?
2) The sales department of your company has established new software for contract management, which is undoubtedly useful for business purpose but beside of little external customizing support completely internally developed.
How would you evaluate these cases with regard to balance sheet or Profit and Loss classification, recognition date and measurement or depreciation?
How would you post these transactions? What else could be important?